(Corrects to removes reference to cyanide use in copper
extraction in paragraph 9.)

* In lower house, 302 votes against draft law and one in
favour

* Rejection of bill puts the project on hold for now

* Canada's Gabriel has been awaiting approval for more than
15 years

By Luiza Ilie

BUCHAREST, June 3 (Reuters) - Romania's lower house of
parliament rejected a bill on Tuesday that would have allowed
Canada's Gabriel Resources to proceed with plans to set
up Europe's biggest open-cast gold mine, putting the project on
hold indefinitely.

The bill, which was initially approved by the leftist
government of Prime Minister Victor Ponta, drew thousands of
anti-mine protesters into the streets across the European Union
country last year, prompting the senate to strike it down.

The lower house had the final say, and data it published on
Tuesday showed deputies rejected the draft law with 302 votes
against and one in favour.

Romania is one of Europe's poorest countries but it is
comparatively rich in natural resources, including gas, coal and
gold. Tuesday's vote has kicked into the long grass a project
the government has said is vital to reviving an ailing mining
sector in a Romanian region in dire need of jobs and investment.
Continued...